The city has spent or obligated $80 million dollars to downtown projects over the last 5 years. How much public money should be dedicated to downtown before deciding that it should be just private money to continue downtown revitalization?

Midland, Texas. The Tall City. This nickname was adopted for the way “the town’s high-rise structures jut out of the plains and provide the only interruption to the view…” according to a 2013 Midland Reporter-Telegram article.

In the early 1900’s, the settlers would congregate in downtown Midland to gather water from the only windmills in town. Downtown has always been the commercial and social center of our city. George W. Bush even made downtown Midland his last stop before heading to the White House. Downtown is the heart of our city and has been the lifeblood of our community since it first began. It would be a disservice to our city, local businesses, and our citizens past, present, and future, to not ensure our city has a healthy heart.

To better understand the question at hand, one must first understand where the money is primarily coming from and the constraints that are put on that money by Texas law. The money in discussion has been generated through the Hotel Occupancy Tax (“H.O.T.”). Texas Senate Bill 1463 allows counties to levy a Hotel Occupancy Tax and funds generated from the H.O.T. can be used to directly promote tourism and the convention/hotel industry. With the constraints of this law in mind, the city of Midland has done a great job in utilizing these funds to promote our city. The H.O.T. funds have not been used solely to promote downtown or build a convention center. In 2017-18, the city of Midland approved the expenditure of over $3 million in H.O.T. funds to promote and better more than 30 non-profit organizations; including the Midland Community Theater, the Arts Council of Midland, the Permian Basin Petroleum Museum, and the I-20 Nature Preserve to name a few. All of the non-profit organizations that received funds are a significant part of our community.

We also need to understand the timeline for which the money is committed. Many of the larger commitments, like those for Centennial Park and the Midland Convention Center, are spread out over a 50-year and 25-year time period, respectively. Some of the smaller commitments have already been realized. The money invested in downtown is not sunk costs but rather, an investment in the betterment of Midland. These investments are intended to create new sources of income and jobs for our city and its citizens. Projects like the convention center are going to generate additional revenue and jobs for Midland. Hosting conventions will result in increased sales tax revenue, additional H.O.T. revenue and benefits local businesses through an influx of visitors to the city. Centennial Park will serve as an amenity for our citizens, as well as those visiting our wonderful city. The aforementioned projects and new projects in the pipeline will serve as a catalyst for private investment downtown leading to a self-sustaining city center. Once downtown reaches this point, I believe the city will have to do very little in terms of additional investments or incentives.

The use of city funds to promote the heart of Midland is appropriate, warranted and needed, but the city cannot be solely responsible for the revitalization of downtown. The city of Midland has been fortunate to have incredible private partners that are vested in our community to help support the growth and needs of the city. The fostering and growth of these public/private partnerships must continue to be a priority in the future.

Additional funds have been contributed by the Midland Development Corp. to aid in the construction of much needed public parking downtown, as well as the purchase and demolition of the old courthouse. We need to remember that these are investments into our community, and we should make sure that our decisions are well thought out in order to generate a positive return for the city. Transparency and fiscal responsibility should be at the forefront of those decisions. I do believe we will see an unbelievable return on the money invested in downtown as our city continues to flourish.

It will be my job as your city council member to ensure fiscal responsibility and return on investment with the H.O.T. funds and to nurture public/private partnerships for the betterment of our great city. As long as we continue to manage city funds in a transparent manner, I believe we should continue our commitment to downtown.